ELDORADO GOLD CORP (ELD.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:ELD - CA2849021035 - Common Stock
63.3 CAD
+0.99 (+1.59%)
Overall ELD gets a fundamental rating of 6 out of 10. We evaluated ELD against 820 industry peers in the Metals & Mining industry. While ELD has a great profitability rating, there are some minor concerns on its financial health. ELD is not overvalued while it is showing excellent growth. This is an interesting combination.
1. Profitability
1.1 Basic Checks
- In the past year ELD was profitable.
- In the past year ELD had a positive cash flow from operations.
- In multiple years ELD reported negative net income over the last 5 years.
- ELD had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- ELD has a better Return On Assets (5.73%) than 90.33% of its industry peers.
- With an excellent Return On Equity value of 9.06%, ELD belongs to the best of the industry, outperforming 90.21% of the companies in the same industry.
- ELD has a better Return On Invested Capital (7.47%) than 92.41% of its industry peers.
- ELD had an Average Return On Invested Capital over the past 3 years of 2.90%. This is significantly below the industry average of 12.04%.
- The 3 year average ROIC (2.90%) for ELD is below the current ROIC(7.47%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.73% | ||
| ROE | 9.06% | ||
| ROIC | 7.47% |
ROA(3y)-0.29%
ROA(5y)-0.3%
ROE(3y)-0.22%
ROE(5y)-0.31%
ROIC(3y)2.9%
ROIC(5y)3.1%
1.3 Margins
- ELD's Profit Margin of 22.14% is amongst the best of the industry. ELD outperforms 94.49% of its industry peers.
- ELD's Profit Margin has improved in the last couple of years.
- With an excellent Operating Margin value of 39.44%, ELD belongs to the best of the industry, outperforming 96.45% of the companies in the same industry.
- In the last couple of years the Operating Margin of ELD has grown nicely.
- With an excellent Gross Margin value of 45.80%, ELD belongs to the best of the industry, outperforming 94.12% of the companies in the same industry.
- In the last couple of years the Gross Margin of ELD has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 39.44% | ||
| PM (TTM) | 22.14% | ||
| GM | 45.8% |
OM growth 3Y12.58%
OM growth 5Y28.7%
PM growth 3YN/A
PM growth 5Y10.88%
GM growth 3Y7.51%
GM growth 5Y12.76%
2. Health
2.1 Basic Checks
- ELD has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- Compared to 1 year ago, ELD has more shares outstanding
- The number of shares outstanding for ELD has been increased compared to 5 years ago.
- Compared to 1 year ago, ELD has a worse debt to assets ratio.
2.2 Solvency
- ELD has an Altman-Z score of 2.71. This is not the best score and indicates that ELD is in the grey zone with still only limited risk for bankruptcy at the moment.
- ELD has a Altman-Z score (2.71) which is comparable to the rest of the industry.
- ELD has a Debt/Equity ratio of 0.31. This is a healthy value indicating a solid balance between debt and equity.
- With a Debt to Equity ratio value of 0.31, ELD is not doing good in the industry: 69.16% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.71 |
ROIC/WACC0.8
WACC9.37%
2.3 Liquidity
- A Current Ratio of 2.79 indicates that ELD has no problem at all paying its short term obligations.
- ELD has a Current ratio of 2.79. This is in the better half of the industry: ELD outperforms 60.71% of its industry peers.
- A Quick Ratio of 2.28 indicates that ELD has no problem at all paying its short term obligations.
- With a Quick ratio value of 2.28, ELD perfoms like the industry average, outperforming 57.41% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.79 | ||
| Quick Ratio | 2.28 |
3. Growth
3.1 Past
- ELD shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 37.82%, which is quite impressive.
- ELD shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 89.34% yearly.
- ELD shows a strong growth in Revenue. In the last year, the Revenue has grown by 40.85%.
- Measured over the past years, ELD shows a quite strong growth in Revenue. The Revenue has been growing by 16.44% on average per year.
EPS 1Y (TTM)37.82%
EPS 3Y31.64%
EPS 5Y89.34%
EPS Q2Q%17.14%
Revenue 1Y (TTM)40.85%
Revenue growth 3Y12.02%
Revenue growth 5Y16.44%
Sales Q2Q%31.04%
3.2 Future
- The Earnings Per Share is expected to grow by 26.49% on average over the next years. This is a very strong growth
- Based on estimates for the next years, ELD will show a quite strong growth in Revenue. The Revenue will grow by 13.20% on average per year.
EPS Next Y14.22%
EPS Next 2Y75.37%
EPS Next 3Y53.15%
EPS Next 5Y26.49%
Revenue Next Year31.55%
Revenue Next 2Y47.62%
Revenue Next 3Y34.87%
Revenue Next 5Y13.2%
3.3 Evolution
- Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 28.01, which means the current valuation is very expensive for ELD.
- 91.92% of the companies in the same industry are more expensive than ELD, based on the Price/Earnings ratio.
- ELD is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.21, which is the current average of the S&P500 Index.
- Based on the Price/Forward Earnings ratio of 10.24, the valuation of ELD can be described as reasonable.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of ELD indicates a rather cheap valuation: ELD is cheaper than 94.00% of the companies listed in the same industry.
- ELD is valuated cheaply when we compare the Price/Forward Earnings ratio to 25.98, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.01 | ||
| Fwd PE | 10.24 |
4.2 Price Multiples
- ELD's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. ELD is cheaper than 95.35% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 11.36 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ELD does not grow enough to justify the current Price/Earnings ratio.
- The excellent profitability rating of ELD may justify a higher PE ratio.
- A more expensive valuation may be justified as ELD's earnings are expected to grow with 53.15% in the coming years.
PEG (NY)1.97
PEG (5Y)0.31
EPS Next 2Y75.37%
EPS Next 3Y53.15%
5. Dividend
5.1 Amount
- ELD has a yearly dividend return of 0.48%, which is pretty low.
- Compared to an average industry Dividend Yield of 0.56, ELD pays a better dividend. On top of this ELD pays more dividend than 95.96% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.81, ELD's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.48% |
5.2 History
- ELD has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DP0%
EPS Next 2Y75.37%
EPS Next 3Y53.15%
ELDORADO GOLD CORP / ELD.CA FAQ
Can you provide the ChartMill fundamental rating for ELDORADO GOLD CORP?
ChartMill assigns a fundamental rating of 6 / 10 to ELD.CA.
What is the valuation status for ELD stock?
ChartMill assigns a valuation rating of 6 / 10 to ELDORADO GOLD CORP (ELD.CA). This can be considered as Fairly Valued.
How profitable is ELDORADO GOLD CORP (ELD.CA) stock?
ELDORADO GOLD CORP (ELD.CA) has a profitability rating of 8 / 10.
Can you provide the financial health for ELD stock?
The financial health rating of ELDORADO GOLD CORP (ELD.CA) is 4 / 10.
Is the dividend of ELDORADO GOLD CORP sustainable?
The dividend rating of ELDORADO GOLD CORP (ELD.CA) is 0 / 10 and the dividend payout ratio is 0%.